Filing Flows › Alarm.com Holdings (ALRM) › How it makes money
How Alarm.com Holdings (ALRM) makes money
Alarm.com Holdings (ALRM) made $279M of revenue in the third quarter 2026 (Q3 2026), +9% from a year earlier. SaaS and license revenue brought in $191M (68%); Hardware and other revenue brought in $88.3M (32%). Of every dollar of revenue, 16¢ was left as operating profit, 12¢ was left as net earnings.
Drawing the Sankey…
Revenue by segment, Q3 2026
| Segment | Revenue | Share | Q/Q | Y/Y |
|---|---|---|---|---|
| SaaS and license revenue | $191M | 68.4% | +1% | +9% |
| Hardware and other revenue | $88.3M | 31.6% | -0.8% | +9% |
Where each dollar of revenue goes
| Line | Q3 2026 | % of revenue |
|---|---|---|
| Revenue | $279M | 100.0% |
| Operating profit | $43.9M | 15.7% |
| Income tax | $11.9M | 4.3% |
| Net earnings | $34.3M | 12.3% |
| Operating cash flow | $75.1M | 26.9% |
| Free cash flow | $69.5M | 24.9% |
Revenue, quarter by quarter
| Quarter | Revenue | Y/Y |
|---|---|---|
| Q3 2026 | $279M | +9% |
| Q2 2026 | $278M | +9% |
| Q1 2026 | $265M | +11% |
| Q4 2025 | $262M | +8% |
| Q3 2025 | $256M | +7% |
| Q2 2025 | $254M | +9% |
| Q1 2025 | $239M | +7% |
From Alarm.com Holdings' 10-Q filed Nov 5, 2026 (on EDGAR).
Questions
How does Alarm.com Holdings make money?
Alarm.com Holdings (ALRM) made $279M of revenue in the third quarter 2026 (Q3 2026), +9% from a year earlier. SaaS and license revenue brought in $191M (68%); Hardware and other revenue brought in $88.3M (32%). Of every dollar of revenue, 16¢ was left as operating profit, 12¢ was left as net earnings.
What is Alarm.com Holdings' biggest business?
SaaS and license revenue: $191M in the third quarter 2026, 68% of revenue, +9% from a year earlier.
What is Alarm.com Holdings' profit margin?
Net earnings were $34.3M, 12.3% of revenue, in the third quarter 2026; the operating margin was 15.7%.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.